NAME: CHRISTINE UMEANA

TOPIC: MID TERM EXAM

STUDENT ID: 20520094
COURSE: MGMT 570 EMPLOYMENT RELATIONSHIP
SUBMITTED TO: PROF TARIK TIMUR

QUESTION 1
A. LABOR MOVEMENT IN NIGERIA
Labor movement also known as labor relations is the relationship between the actors in
the labor field. The actor in play here are the unions, the management and the
government; they all have their various roles and functions in carrying out labor
processes.
UNIONS
There are different fields that can be used to analyze labor movement; however, in
Nigeria, the labor movement is more a political one. The Nigeria labor congress is the
body that represents the interests of workers. It comprises of four (4) different unions as
follows;

 NIGERIA TRADE UNION CONGRESS

 UNITED LABOUR CONGRESS
 NIGERIA WORKERS COUNCIL
 LABOUR UNIT FRONT – Its singular purpose was to create unity between the
three above listed unions.
The interest of the Nigeria labor congress just like any other union is to fight for the right
of workers in all industries.
GOVERNMENT
In Nigeria, labor relations are championed and solely run by the government. She is a
democratic country that runs like an autocratic one. There is a high-power distance
between the government and its workers. The government determines the wages for
workers without considering the input of the Nigeria labor congress(union). According to
Uzoh, Bonaventure and Chigozie., (2015) “the Nigerian government has domineered and
overridden its IR system. The government takes un due advantage of its position as the
larger employer of labor in the public sector and at the same time making the laws that
regulate the industrial relations system.”
B. NIGERIA LABOUR MOVEMENT AND ITS CHARACTERISTICS
 RELATIONSHIP BETWEEN THE NIGERIA LABOUR CONGRESS AND
THE GOVERNMENT
There is a weak if not almost dead relationship between the union and the government in
Nigeria. Unions are disregarded and harassed. Because the NLC is a body that still sought
loans and financial aids to carry out its work effectively, they approach political parties
for such financial aids and by so doing, jeopardizes their unilateral standing and are
bought by politicians that work in the interest of the government. This gives the
government the needed grounds to carry out harassing acts by changing the leadership of
the NLC. According to an article by Abdulazeez., (2021) “on May 12 2016, the Nigerian
government increased fuel pump price from 86 NAIRA to 145 NAIRA/liter and it went
on despite NLC’s rage. And in 2020, it was again increased from 148 NAIRA to 161
NAIRA/liter also without the NLC able to do anything to stop it. The government has
also disrupted NLC meetings and unlawfully arrested its members also going ahead to
ban peaceful protests all in a bid to strip the NLC of their power”. This only further
strengthens an article by Collins et al implying “labor union is dead in Nigeria”.
 NLC APPROACH TO LABOUR PROBLEMS
The NLC approaches labor disputes primarily through collective bargaining, however
this process has proved diluted as it no longer functions properly. Government and
organizations now go against agreements easily due to the fact that they believe they are
answerable to no one and all the powers lie with them. The NLC resorts to striking or
protests in this regard but this is also met with silence. An example is the #ENDSARS
protest that took place October 2020 in Nigeria. The reason for the protest was the people
being tired of police brutality on youths and asked for a total reform of the police sector
from the government. The protesters refusal to associate with any union in order to avoid
any singular body silencing the cause of the protest by accepting any form of settlement
below their demands. The government response to this peaceful protest was gunning
down protesters while keeping news media away from the scene to avoid broadcast; see
the cable, (2021) “an overview of the #ENDSARS protest in Nigeria”. This act shows
three things;
I. The peoples/workers mistrust in the union body to fight their cause anymore.
II. The governments sole wielding of power without regard for the NLC.
III. The NLC’s need to approach more radical ways to fight and protect the interests of
workers.
C. DIFFERENCE IN NIGERIAS LABOUR MOVEMENTS AND OTHER
COUNTRIES
The labor union in other countries according to Aliyu “champions workers rights,
defends their interests, safeguards them from insensitive government policies and the
cruel capitalist tendencies of other employers of labor”, unfortunately such cannot be said
about Nigeria in recent times.

The development of a country depicts its labor movement. whilst Nigeria a developing
country adopts a political approach to its labor relations, however it is interrelated still
economically and socially. Because it is politically driven, it focuses less on the interest
of the workers as the unions are easily bought off by the government. However, in
developed countries like Germany, Canada and so on, it is more socially inclined to better
improve the standard of living of its workers and unemployed labor force.

UNEMPLOYMENT – The rate of unemployment in Nigeria is on the high side and as

such, leaves for scarcity of union members which makes it easy to be trampled upon by
the government.

COLLECTIVE BARGAINING – Developed countries have more precedence for

upholding rules and regulations set down which involves collective bargaining and
negotiations between parties to come to a conclusive result as opposed to underdeveloped
countries.

D. NIGERIA’S LABOUR MOVEMENT SUCCESSES AND FAILURES

 SUCCESSES
Over the years, Nigeria’s incessant problems have revolved around low minimum wages,
university workers strike, high unemployment rate and increment of fuel price.
In mid-2019 after administration of new members of the ministry of labor and
unemployment as cited by Adejumo. K (2020) “fresh negotiations erupted between the
union and the government and by mid-October that year, implementation of the
concluded negotiations started taking place.” This negotiation resolved the issue of
increment of minimum wages for workers. This in turn ended ‘threatened strikes by
organized unions”. This was one of the timeliest positive response to negotiations and
showed respect and recognition of the NLC.

 FAILURES
 The NLC despite its striking and other efforts has been unable to resolve the issue of the
removal of fuel subsidy in Nigeria. As at 2016, fuel pump price was increased from 86
NAIRA to 145 NAIRA/liter and further increased to 161 NAIRA/liter in 2020. In the
space of four years, fuel price has increased by 75 NAIRA/liter and in the present year
2021, it has gone up again by 5 NAIRA and the NLC is still yet to do anything about it.
There are claims as cited by Philip. A. (2016)., “where was labor union when subsidy
money was stolen? The NLC was enjoying the loot money with the cabal members of
course, In exchange for deflating the protest regarding the fuel increase, the NLC
leadership got juicy offers.” Till date fuel price is considered for increase again.

E. HOW NIGERIAS LABOUR MOVEMENT COMPARES TO THE IDEAS

COVERED IN THE COURSE
The course in itself gives the foundation in understanding the parties involved in any
countries labor movement, it aids the understanding of these unions, how they work and
what workers basically want from them. The course shed light on the dysfunctionality of
a country’s labor movement and how overlooked factors tells a lot about failed
unionization. Employment relationship talks about unions interests in protecting wages
and benefits of workers while a country’s labor movement partializes it. The course
explains how bringing different countries together through the sharing and adopting of
ideas is globally unilateral by nature. The course shows how politically, socially and
economically intertwined countries are. It can also be seen from the course which is also
practiced in a country theory how unions across all borders share the same interests,
which is the interest of workers either on federal, state, local or private level.
 QUESTION 2
The era of covid-19 caused a lot of financial hardships for a lot of companies. Globally,
companies suffered huge financial losses, some did okay and some unfortunately declared
bankruptcy. Bankruptcy is the process whereby companies are no longer able to carry out its
financial obligations. For a company to declare bankruptcy, it needs to go through some legal
processes via the court to ascertain its true financial standing for which there are laws to help
them through that process. Covid-19 isn’t the only reason for companies suffering financial
hardships; other causes vary around improper management of company funds, bad record
keeping and so on. There are people and systems that disagree on companies using bankruptcy
laws to seek debt relief. I agree with the notion however that bankruptcy laws should be used to
seek relief from financial debts and existing labor-management contracts.
Firstly, the existing labor-management contracts are the result that come out of the collective
bargaining between the union(labor) and the company’s management which are already in
effect. Relief from this contract via bankruptcy laws should be implemented. This could include
increment of wages, paid leave days etc. a company declaring bankruptcy means they can no
longer cover the basics of running the organization and that means fulfilling obligations to such
contracts become impossible. Relief from financial obligation do not necessarily mean that both
debtors and creditors walk away from each other, rather bankruptcy laws works in order to ease
the debtor’s financial burden and still find a way to settle creditors which is still a daunting
process for employers of labor. According to the united states courts chapter 7 of bankruptcy
codes “there is the option for liquidation”, this is when some a debtor declared assets is sold and
the sales returns are used to settle creditors. Also, in some cases under this same chapter of the
bankruptcy codes, the debtor’s properties can be reassigned to creditors as loan repayment.
These processes require the creditors agreed participation for this to work. In this case, bank
loans are payed first.
Secondly, as cited by the united states courts chapter 11 of the bankruptcy basics “the debtor
may seek an adjustment of debts either by reducing the debts or by extending the time for
repayment.” This gives the companies the option of either paying in full reduced debts or
paying gradually usually up to 5 years the full debt. On the other hand, chapter 13 enables the
companies keep their properties while making monthly payments to all financial debts over the
next 3-5 years with a trustee appointed by the bank seeing the running of the organization. This
ensures that the companies are still able to clear their debts and negotiated contracts between
the union sand the company’s management is still upheld, however a more stretched period of
time. Chapter 11 gives the company(debtor) the option of restructuring its business and working
to become profitable under the supervision of a trustee appointed by the court and employees
get to keep their jobs while still earning wages and maybe existing contracts protected.
Furthermore, the labor unions might not have considered the prospects of a company’s
bankruptcy during the collective bargaining process, it is only right that a company can be
excused from binding financial obligations in this regard. According to Becker,S. (1981)
“because congress did not foresee and provide for the unique labor problems of financially
distressed businesses, the laws governing bankruptcy and labor relations occasionally clash.
Courts have been left to develop rules to govern when a debtor may reject collective bargaining
agreements, ¹when a union may strike a debtor, ²and when a debtor may be subjected to binding
labor arbitration.” In other words, the court in this case of company’s financial hardships has
the sole right to use bankruptcy laws in favor of either the debtor(company) or the
creditor(unions). For example, continental airlines before bankruptcy had an employment force
of approx. 12,000 people, after bankruptcy, labor agreement was reprieved, employees were
still in paid jobs and the company remained in business until it could settle its own end of the
labor agreement, keeping over 9,000 in paid employment presently.
In conclusion, bankruptcy laws work to favor both the debtors and creditors in a way.
Companies are given prolonged time to recuperate and settle debts and during this time of
recuperating, creditors are not allowed to harass or take legal actions against them. The chapters
of the bankruptcy code give ample opportunities for unions to still benefit from their existing
binding labor contracts with the company’s management. However, in the instance that the
financial burden is too much for the companies to bear, the courts in charge of bankruptcy laws
has the right to waive off every binding contract. The debtor does not bear the sole blame for
financial crises in a company, therefore deserves the rights to a fighting chance of survival and
recuperation which involves companies using bankruptcy laws to seek financial debts relief.
 QUESTION 3
Labor management relations is the active negotiations between the union representation of labor
force and the management of the organization. It includes the process of bargaining between the
above-mentioned parties on issues bordering on working conditions of the employee of any
organization.
With the above understanding of labor-management relations, in the university it is important to
note that there are different labor unions in different universities across the world and their
functions are all different, however their goals are aligned which is the interest of its members.
In Nigeria, the labor union that governs the interest of its institution members is called the
“Academic staff union of universities” (ASUU), in the united states, they are called “ the
national education association” (NEA) , and so on. The union represents teachers, professors
and other educational staffs on issues surrounding their working hours, wages, their working
conditions, job security, campus safety, etc.
In an article written by Olabode. A., Adebukola. E., (2017) “ASUU has had cause to formerly
negotiate with the government on some pertinent issues and they are: adequate funding of the
system, university autonomy and conditions of service.” In the aspect of funding, the
government has not been forth coming with committing reasonable funds to the educational
sector compared to other developing countries. This scenario has caused for limited man power
in that sector, leaving the few qualified personnel working on doubles to cover the gap without
flinching on the standards of education. This has led to incessant strikes over the years, which
has the students bearing the harsh brunt of this reality. The funds being sought after are
budgeted not only for improving the wages and working conditions of these staffs but also to
procure equipment’s and infrastructure for the effective running and therefore, the stand of the
unions cannot be compromised.
It is known that foreign students in higher education pay more tuition than student citizens of
the home country. This extra huge gap in finances will improve the standard of the institution.
However, immigration issues is a problem bordering the economics aspect of the labor-
management relations. Unions bringing such an issue during collective bargaining meeting is
not the issue, but the institutions managements reservations on interfering in government and its
immigration issues.
The conditions of services of university staffs borders on matters like salaries, allowances,
pension matters, promotion and recognized appointments. In understanding the field of
economics role in the labor-management relations in the university, there are some factors
which needs to be looked into that borders manpower in the higher educational sector. They are;
1. Level of education and experience
 2. Job position being recruited for
3. Hours of work
4. Location of institution
5. The salary rates
All of the above mentioned are all intertwined in understanding the role of economics field in
the union and employers’ relations. The level of education attained is closely linked to the
position that can be applied for/given and the hours of work that will be needed to put in, the
location of the university determines the salary rate as it has to balance the cities standard of
living.
In the absence of the above listed, the sociological field then studies the behavioral aspect of
how the university staffs react to this, which is majorly through the act of striking. Striking
involves the abrupt cease of action of all educational activities by staffs till a consensus is met
by the institutions management through collective bargaining by the unions and the school’s
management.
There are three major phases in the labor-management collective bargaining process;
1. Firstly, it is the institutions management acknowledging that the issues put down for
bargaining are the legitimate rights of the concerned parties and accepting the
representative’s body of the union as the legal and rightful representatives of its staffs.
2. It is the negotiation process; that is the actual bargaining process between the union and
the institutions management. This is where important issues are brought up for
deliberations.
3. This third phase is the implementation of the negotiated agreements by the institution.
The union in this phase ensures that the management fulfils all promises made by the
implantation of binding contracts.
The higher educational system is a very important one as it shapes and prepares the minds of
the people entering the labor market. However, it is no hidden fact that in most underdeveloped
countries, it is one of the most underfunded and the continuous striking of staffs has a direct
adverse effect on the students.
FACULTY MEMBERS should beyond all doubts be allowed the right to engage in the
collective bargaining processes. They are the senior staffs of the school as such, carry more
bargaining power and have the authority and presence to demand.
Finally, they better understand the effects of the negatives on the education system and should
be allowed to contribute on the collective bargaining process. According to Ponak. A., (1992)
“faculty distinguishes firmly between academics and non-academic issues and deliberately
choose to restrict the scope of bargaining to a a relatively narrow range of issues involving
money, job security and grievance procedures.” That is to say, faculties fear that its staff’s
associations with unions and collective bargaining will erase the separation between academic
and non-academic matters and probably cause the dissolution of faculty senates and its supreme
authority in the institution.

QUESTION 4
Unions are an autonomous body whose singular interest is defending the rights of employees by
negotiating for favorable working conditions, job security, health insurance, paid leaves,
policies that favor employees and representing them when necessary. The importance of the
unions in workplaces cannot be overemphasized, however, there is need to understand that with
the presence of work situations mentioned and more, employees will not see the need to want to
unionize. While there are people that may disagree with this, I strongly agree with this
philosophy.
It is important to note that there are also negatives to employers unionizing; presence of unions
means outside representation for employees and this causes gap in employer-employee
communication. This also reduces the chances of employees making partnership in the
company as the unions non-feelings towards employer’s breeds room for hostility. Also note
that workers need for non-unionization does not mean that unionizing is bad for them and
employers of labors are very well enlightened on this fact. Managements are aware that
employees need for unionizing stems from the fear and reality of unfavorable working
conditions and being treated unfairly and will therefore do the averagely possible to keep the
workers from joining unions. Managements are more profit oriented than anything and
understand that the presence of unions is a threat to that standing. Unions are not aggressive by
nature but will go all the way following due legal protocols to defend and fight for the right of
its members and company management always want to stay away from political and legal
battles that does no good for its management. Due to this regard, they provide comforts like
flexible working times, attractive salaries, health insurance and other benefits to ensure
employees do not feel the need to want to unionize.
Firstly, when an employer possesses interpersonal skills, he is able to differentiate between
employees and knows their level of emotional intelligence, their communication method,
intellectual intelligence and can communicate effectively with employees. In communicating,
he understands what every employee needs, it gives the employer conflict resolution skills as he
can reach every employee individually. When an employee feels like they have this, they are
more inclined to have a comfortable working relationship with management and can
communicate needs effectively. With the presence of a union representation, the employee
knows that this will not be possible as unions will have the moral and legal standing to
communicate all employees concerns on their behalf. Inadequate communication is often one of
the greatest problems employees face in the workplace; the employees are not oblivious to the
fact that union representation will only foster even more bridge gap in communication.
Secondly, Good wages, compensation and motivation packages are yet another reason for
employees not wanting to unionize. When an organization sets up policies that ensures an
employee is valued, it sends a message of commitment from management. These policies
include;
 Overtime allowances – to ensure that in the instance an employee has to put in
extra time, they are adequately compensated for it.
 Paid leave holidays – this ensures that even when employees are away from work
for personal issues, they have the assurance of financial security.
 Health insurance – this means the company values the lives of its employees.
 Ex-gratia payments – it shows employees that even when they do decide to walk
away from the company, they still will be taken care of and this way are not scared
of their contracts coming to an end.
 Motivations – some companies refer to this as “happy hour” and some call it
“profit sharing”. This is when an organization has a win and recognizes that it took
the effort of all its staff to earn it, then decides to share it amongst everyone. This
can happen as often as the company gets more wins or contracts. Employees here
have the sense of belonging and are inclined to do more as this ensures them their
hard work does not go unrewarded.
 Suggestion boxes – this is when employees are asked to render suggestions and
ideas anonymously or otherwise to ensure a more comfortable working
environment; as long as these suggestions are being implemented, they know their
ideas are valued.
 NSITF – this is called “Nigerian Social Insurance Trust Fund”. Companies are
endeared to register with this body in Nigeria. They make sure organizations pay a
certain amount of money for staffs on a monthly basis in the event there is an
accident while on the job, they are well compensated for it. It shows investment in
an employee and values for his job input.
Furthermore, there are issues of high union dues that employees are necessitated to pay. They
are initiation fees and the union dues that cover the cost of legal fees and other union related
matters. These fees are quite high and vary from countries. According to an article written by
Owen Pearson (2017) “union dues have significantly increased over the past years. Financial
experts say that unions are now charging workers about 10 percent higher dues. In 2015, union
members living states with compulsory dues were paying around $600 a year. The annual due
in right to work states was $432.
Examples of companies with large workforces as originally cited by Jennifer Orechwa are
“Apple, Whole foods, Hewlett-Packard and Quik trip”. They have managed to remain non-
unionized;
1. Apple – they are a global tech company that have remained non-unionized over the years.
Every organization has its deficient sides but apple despite that has shown the ability to
 engage its workers in passionate work that has a good compensation scheme, even part
time workers. However, apple demands long working hours from its employees, they are
well compensated for it, they also give great employee discount.
2. Whole foods – management here has a great employer-employee relation. They are
known to give rewards to workers that care well for their health and this act promotes
personal hygiene amongst workers. There is transparency between workers in the sense
that employees are given the chance to air their suggestions and they are implemented
which shows value for employee input, they also give great employee discounts.
3. Hewlett-Packard – they encourage their employees with flexible working hours, juicy
investment plans and promotional activities.
4. Quik trip – this gas station promotes their employees on the basis of performance which
means that employees are inclined to work hard of which they are highly compensated
for.
In conclusion, employees are majorly inclined to want to unionize in the absence of a
comfortable working environment, good employer-employee relations, good compensation
packages, health benefits and so on. In this case, they demand the presence of unions to
represent and defend their rights. However, in the presence of these actions, employees do not
see the need to want to unionize as in an existing comfortable employer-employee relation, the
presence of a union will deter proper communication between management and staffs and also
take away their rights to free and individual speech coupled with their high union dues.

REFERENCES
QUESTION 1
Adejumo, K. (2020, August 21). Scorecard: achievements, failures of ministers of labor in one
year.
Aliyu, A. Nigerian labor movement: something is terribly wrong.
www.gamji.com/article8000/NEWS8482.htm
Bello, A. (2021, April 24). Daily trust. https://dailytrust.com/what-is-nlc-doing
Collins, Gloria, Oluwaseun, Monday, Timothy. (2021, May 1). May day: no new song for
Nigerian workers.
The cable. (2021, May). An overview of the Endsars protest in Nigeria: legal issues and matters
arising.
Uzoh, Bonaventure, Chigozie. (2015). The role of government in the industrial relations system
and wage related industrial unrest in the public service in Nigeria.

QUESTION 2
Becker, S. (1981). The Bankruptcy laws effect on Collective Bargaining Agreements. Columbia
law review, 81(2), 391-409.
www.uscourts.gov/services-forms/bankruptcy/bankruptcy-basics/chapter-7-bankruptcy-basics

QUESTION 3
Olabode, A.O, Adebukola, E.O. (2017). Nigerians public university system: Are trade unions
still viable?
Ponak, A., Thompson, A., Zerbe, W. (1992). Collective bargaining goals of university faculty.
Research in higher education, 33(4), 415-431. Retrieved May 2, 2021 from
http://www.jstor.org/stable/40196041

QUESTION 4
Owen, P. (2017). What is the purpose of a union in a workplace. Published by bizfluent.
Jennifer, O. https://blog.unionproof.com/what-you-can-learn-from-4-union-free-companies/